What's a public shell company
or a public shell corporation?

Shell Company, Shell Corporation,
Shelf
Corporation
Definition

A public shell company, also called a "public shell corporation" can be
a company that has already gone through the SEC (Securities and Exchange
Commission) review process and received its stock symbol; although it
was once a trading and reporting company, it stopped actively engaging
in business activity. This type of public shell company - or public
shell corporation - typically has very few assets and little ongoing
business operations or activity.

Another type of shell company or shell corporation is the blank check
public shell corporation, not to be confused with a "shelf corporation."
This kind of shell company has been created expressly for attracting a
private company to do a reverse merger with. Once the reverse merger is
done, and the proper forms are filled with the Securities and Exchange
Commission (SEC), it then becomes a fully trading and reporting company.
Blank check companies are favored by investment sources and advisers due
to the fact that it is relatively new company that never had a business
it it before so it is clean.

How To Use a Public Shell Corporation
or Public Shell
Company

Although the uses for public shell
companies or public shell corporations are many, these are
some of the most common strategies:

• Closing The Deal: A shell company can be used to cement or finalize an
investment transaction, such as when a company is seeking to
close a PIPE offering (Public Investment in Private Equity).
• Brand Protection: Many companies that produce brand name
items sold at upscale stores will market through a public
shell corporation when selling to low end retailers.
• Company Creation: An individual or a group wishing to
create a new business can use a public shell company without
having to start from scratch.